Your home is probably the biggest asset you own. This is why you should hire a professional REALTOR® to guide you. I help 24 to 28 families each year buy or sell a home. I have been a financial & real estate consultant for the past 30 years and specialized in loan loss mitigation, short sale negotiation and REO marketing. I know how to negotiate contracts & navigate through the most difficult transactions.
Chris B Johnson CalBRE 01501699-Allison James Estates & Homes CalBRE 01885684

Search This Blog

Thursday, October 7, 2010

The President Will Not Sign Foreclosure-Friendly Bill

The President will use a rare “pocket veto” to reject a bill that the White House fears could worsen the mounting problems caused by flawed or misleading documents used in foreclosures.
________________________________________
The White House press secretary said Thursday that Obama is sending a newly passed notarization bill back to Congress to be fixed because the current version has “unintended consequences on consumer protections.”

A pocket veto is a tactic for killing a bill that can be used only when Congress is not in session. It essentially takes effect when the president fails to sign a bill within 10 days.

The President has yet to issue a traditional veto during his presidency; he has used a pocket veto once before, in December 2009, to address what amounted to a technicality on a defense spending bill.
In the current case, The President will not sign a bill that would allow foreclosure and other documents to be accepted among multiple states. Consumer advocates and state officials had argued the legislation would make it difficult for homeowners to challenge foreclosure documents prepared in other states.
The White House said Thursday it is sending the bill back to Congress for revisions, and that the administration would work with lawmakers on it.

Thinking about a loan modification? Our Ventura County Loan Modification Kit has the instructions you will need to get a loan modification approved with your lender. Click here to request a copy.

O. Max Gardner, a consumer lawyer in Shelby, N.C., said the bill would have made the problems with foreclosure documents worse. That’s because mortgage companies would have been able to mass-produce documents and affix a digital version of a notary’s seal rather than one on paper.
“They could process more foreclosure cases with improper and invalid documents and make it more difficult for consumers to try to fight,” he said.

Attorney General Eric Holder said Wednesday that the government is looking into allegations that mortgage lenders have been evicting homeowners using flawed court papers. And in a letter Tuesday, House Speaker Nancy Pelosi and dozens of Democratic lawmakers urged bank regulators and the Justice Department to probe whether mortgage companies violated any laws in handling foreclosures and borrowers’ requests for loan assistance.

Ohio Secretary of State Jennifer Brunner, along with liberal groups, had urged Obama to reject the measure after allegations surfaced of widespread flaws in the documents used in the foreclosure process. Those included not having a notary public in the room to certify that a signature is valid.
Three banks have halted foreclosures in 23 states after evidence surfaced that their employees or outside lawyers signed documents without reading them or filed inaccurate paperwork. State and federal officials have been ramping up pressure on the mortgage industry over concerns about potential legal violations.

Thinking about a short sale? I can help you short sale your property and never pay the bank another penny. Send me an e-mail at cjohnson@prucalhomes.com. I will contact you for a free consultation.

When we talk, I will explain how the process works in detail and answer any questions you may have. Or, if you prefer, you can call me at 805-208-0823.

Discover how other sellers successfully completed a short sale and request a free consultation by clicking here.

Copyright 2010 SFI Marketing Institute, LLC. All Rights Reserved. This is not intended as legal, technical, or tax advice. Please speak with a licensed professional before making any decision. Information is deemed reliable but not guaranteed as of the date of writing. The views expressed here are Johnson’s personal views and do not reflect the views of Prudential California Realty. This information on Why Banks Reject Short Sale Offers is provided as a courtesy to our viewers to help them make informed decisions.

About Me

Chris B. Johnson REALTOR® Specializes in Luxury Estates and Home Auctions. Your home is probably the biggest asset you own. This is why you should hire a professional to guide you through all your real estate transactions. My goal is to help 24 to 28 families each year either buy or sell a home. I am NOT interested in Selling 100 or 200 homes a year because I would not be able to give each family the time, attention and energy they deserve. I believe in Quality, NOT Quantity.